Perfecting marketing policy in capital mobilization at Vietnam Joint Stock Commercial Bank for Industry and Trade - Binh Dinh Branch

specific use; available transaction software on personal electronic devices; modern banking equipment system; immediate response to all customer inquiries; …

- Piloting the opening of mobile transaction points periodically every week/month at central markets serving small traders, agricultural markets (fishing ports, wholesale markets...) serving farmers and fishermen; or suddenly when customers have unexpected sources of income such as compensation disbursement for land clearance, fishermen catching a big catch... After a period of implementation, evaluate the effectiveness compared to calling on customers to go to the bank to deposit money.

- Closely cooperate with Vietinbank Phu Tai Branch to learn and build connections between Vietinbank customers in the two regions, providing support services to customers in the system.

g) Establish a customer information management program and regularly update customer information to facilitate lookup and care. Develop a customer care mechanism, screen customers according to each target group and specific criteria; proactively plan time and budget for annual customer care.

Maybe you are interested!

3.2.4. Solutions for promotion and communication activities

The survey results show that the rate of receiving information to decide to use Vietinbank Binh Dinh Branch's products and services is approximately 50/50 for direct information channels from bank employees, relatives, friends and information channels on media and social networks. Showing that promotion and communication activities still need to take place simultaneously between traditional and modern methods.

One point to note in the promotion and communication solution is that although customers know about the products and services, most of them do not have a deep understanding, not enough to know all the convenient features that the banking products and services bring, and the result is waste. To overcome these limitations, the solution for communication activities is:

- Continue to strongly communicate about Vietinbank brand identity with

The message “Improving the value of life” and the 3 characteristics “Close, understanding, dedicated”. The brand image needs to be brought closer to farmers and individual customers in remote areas, because for them the names Vietinbank, Vietcombank, VPBank, ...bank are not as easy to remember as the familiar image below.

- Communication content must be invested in and built to convey important information about products and services and how to use those products and services to suit different customer segments, avoiding the situation of one content for all customers. For example, the image above only helps customers know about the product and the benefits of the promotion program, but does not understand the features, utilities and how to use the product.

- The media also needs to be rich, combining people (employees) and technology. It is especially necessary to promote the role of individuals in communication. Each bank employee must become a talented messenger, and through their relationships (friends, family, relatives...) the communication team is multiplied. Take advantage of social networks, mass media of local levels (from province to city, commune, ward) when possible, combined with social activities of Vietinbank Binh Dinh in particular, Vietinbank in general.

- Organizing promotional programs should target customers in addition to traditional promotions on holidays, Tet, and anniversaries of Vietinbank (On the occasion of the inauguration of a factory, issuing free cards to factory workers; awarding customers with the most transactions in a month,...

One thing to note is to avoid creating a sense of discrimination in treating VIP customers with customers who have small savings or transfers. Preferential policies must be reasonable, creating equality and customer satisfaction.

3.2.5. Some other solutions

3.2.5.1. Solutions on interest rates and service fees

Most commercial banks today still often complain about

must raise input interest rates to mobilize capital, so profits are low, and that is the reason for not reducing fees and lending interest rates. That is because recently, banks have been replacing the function of the stock market, mobilizing and supplying capital to businesses with a fairly high ratio in the capital structure, leading to high risks, which means low profits.

With the rise of the capital market, the credit burden of banks is gradually being shared, banks must gradually adjust their investment structure, shifting to expanding non-credit activities in line with the inherent functions of commercial banks. Vietcombank is a proof, in 2017 Vietcombank achieved record profits, leading the system thanks to increased non-credit service income, although lending interest rates are still lower than other commercial banks.

In the world, the increasingly popular trend of flexible pricing models and service packages divided by customer segments will change the way banks charge customers. The pricing strategy of Vietinbank Binh Dinh Branch also needs to change. It is not advisable to use the traditional standard pricing model (one price for everyone) but to switch to a flexible pricing model according to customer segments for each separate product package.

As the target market has been selected with the above customer segments, at each time, the pricing of Vietinbank Binh Dinh Branch needs to be based on specific product packages, synergy, and dual benefits to set appropriate prices. With this pricing method, customers will not think about comparing with other banks because there is no uniformity in the service packages in terms of both product portfolio and service quality that they enjoy, so the price gap will gradually be erased, instead there is a comparison between prices and the benefits that customers receive. If they feel satisfied, their attachment to the product, service, and bank will be increasingly higher.

To set a reasonable price, be accepted by customers, and increase profits for the bank, pricing needs to be based on: Customer needs and level of response

price for each customer segment; competitor prices; risk level; costs incurred by the bank and an indispensable point is the policies of the State and the State Bank.

Regarding costs, it is necessary to analyze specific costs to see unreasonable costs, unnecessary costs to cut, should not focus on cutting costs for human resources as is often done. For example, the cost of issuing ATM cards in the past is a waste that needs to be adjusted by issuing cards with a focus along with instructions to promote the features of the card.

Before pricing a product or a specific service package for a customer segment, the bank must determine its goals: to attract new customers (service packages for foreign businesses, import-export businesses)? to increase operating revenue (card payment services)? to increase competitiveness (mobilizing savings) or to create relationships between customer groups (linking businesses - farmers - businesses)?

In summary, the pricing policy of Vietinbank Binh Dinh Branch needs to be changed.

Strong change in strategy to be competitive.

3.2.5.2. Human resource solutions

The current human resources of Vietinbank Binh Dinh Branch are facing three problems: Lack of quantity, low professionalism in some job positions and competition for information technology human resources.

- Regarding the number of employees, Vietinbank Binh Dinh Branch proposed that Vietinbank allow an increase in staffing, instead, it will review and cut unnecessary expenses to invest in human resources. In particular, it is necessary to recruit and train personnel to do marketing work at the branch to organize marketing activities to mobilize capital in a scientific and effective manner.

- To satisfy customers, it is necessary to objectively evaluate the qualifications and abilities of staff according to each job position in order to have a training plan.

Recreate and foster basic business knowledge and necessary skills suitable for each position and title to meet the increasingly complex requirements and withstand the increasing competitive pressure of the business environment.

Focus on training professional skills for the team of transaction officers and customer relations specialists at transaction offices to create a modern business style, meeting the requirements and qualities required of the retail network; training soft skills for operational staff to turn knowledge potential into work efficiency. Pay due attention to foreign language training (especially English) to anticipate opportunities to expand transactions with foreign customers.

Regularly organize professional training sessions to help staff understand the benefits of the product, thereby providing appropriate advice to the needs and financial capabilities of each customer.

- Regarding information technology human resources, it is necessary to have a reasonable usage and treatment mechanism to retain existing information technology human resources, while proactively seeking and recruiting new human resources to be able to quickly access modern banking services deployed locally, especially in terms of network administration.

- An important issue in human resource management is to have a fair reward and punishment system to encourage all staff to participate in capital mobilization work, while at the same time attaching the responsibility of department leaders and branch leaders in this work.

3.2.5.3. Check the implementation of the capital mobilization marketing plan

Develop a set of criteria to check and evaluate the implementation of marketing activities to see the effectiveness of applying capital mobilization marketing policies to growth and profit indicators. And to have an accurate assessment, the set of criteria must also be built according to each customer segment corresponding to each goal that the bank is aiming for.

CONCLUSION AND RECOMMENDATIONS

1. Conclusion

Competition and international integration are currently a new challenge that businesses as well as commercial banks in Vietnam must accept and face as an objective necessity. In that context, in order to continue to develop stably and operate effectively, commercial banks need to perfect appropriate marketing policies to enhance their capacity and competitiveness.

To contribute to the development of Vietnam Joint Stock Commercial Bank for Industry and Trade - Binh Dinh Branch, the topic " Improving marketing policy in capital mobilization at Vietnam Joint Stock Commercial Bank for Industry and Trade - Binh Dinh Branch " has focused on solving the following basic issues:

Firstly, synthesizing theories on bank marketing and marketing policies as well as the effectiveness of marketing policies on mobilizing deposits of commercial banks.

Second, analyze and evaluate correctly the current status of marketing policies of Vietnam Joint Stock Commercial Bank for Industry and Trade - Binh Dinh Branch through evaluating the branch's policies and collecting customer survey opinions on policies on products, interest rates and fees, distribution channels, and mixed promotion policies. The research results show that although Vietnam Joint Stock Commercial Bank for Industry and Trade - Binh Dinh Branch has had positive results in diversifying service types and applying advanced technology to improve service quality and increase customer satisfaction.

Third, based on the assessment of the current implementation of marketing policies, considering the causes, goals and orientations of the Vietnam Joint Stock Commercial Bank for Industry and Trade - Binh Dinh Branch. The author proposes a number of solutions to improve the marketing policies of the Vietnam Joint Stock Commercial Bank for Industry and Trade - Binh Dinh Branch, specifically on product policies, distribution channels, promotion and communication activities, and a number of support solutions such as interest rates, costs and human resources, and plans to inspect the implementation of marketing policies.

The author boldly made some recommendations to the State Bank and the Vietnam Joint Stock Commercial Bank for Industry and Trade on the shortcomings to remove difficulties in implementing effective marketing policies.

Within the limited scope of the topic and the author's ability, the thesis cannot avoid certain shortcomings. However, it is hoped that the above solutions, if carefully considered and implemented, will contribute to perfecting the marketing policy in capital mobilization at the Vietnam Joint Stock Commercial Bank for Industry and Trade - Binh Dinh Branch, becoming more systematic, professional and suitable to meet the integration requirements in the current period.

The author would like to sincerely thank the enthusiastic guidance of Associate Professor, Dr. Nguyen Tai Phuc and teachers and colleagues who have wholeheartedly helped the author complete this thesis.

2. Recommendations

Recommendations to the State Bank

- Soon supplement and complete a complete legal framework for the operation of digital banking models and financial technology enterprises.

- Accelerate the implementation of the Project on developing non-cash payments in Vietnam for the period 2016-2020 together with the Project on improving access to banking services for the economy of the Government with practical support policies for commercial banks in expanding their networks and developing e-banking services.

- Strengthen inspection and examination of the banking system's operations. Strictly handle violations that cause loss of bank and depositor assets, affecting customers' trust in the bank.

Recommendations to Vietnam Joint Stock Commercial Bank for Industry and Trade

- Re-study the system's human resource management mechanism, decentralize, and give branches the initiative in human resource work to make decisions that are appropriate to the goals.

business operations, taking business performance as the final measure.

- Emphasize the role and make appropriate investments in marketing activities, promote the role and effectiveness of marketing, especially market research. Build a team of professional marketing staff from headquarters to branches.

- Product design aims to be more differentiated for each local and professional customer segment. The differentiation must come from objective needs, from the perspective of an outsider. Therefore, it is necessary to hire an outside organization to conduct an investigation and learn about customers to have an objective view.

- Strengthen training activities, including centralized training, training e-learning programs, building a team of internal on-site lecturers. Compile and develop a system of documents and textbooks to serve the training of sales skills, customer care skills, and teamwork skills for the entire system.

Perfecting marketing policy in capital mobilization at Vietnam Joint Stock Commercial Bank for Industry and Trade - Binh Dinh Branch - 13

Comment